You’ll be aware that HMRC is bringing in new, stricter rules around using contractors and consultants, known as IR35 effective April 2020. These new rules are intended to stop contractors, freelancers and consultants being used as “disguised employees” to avoid paying tax and benefits.[continue reading…]
Changes to IR35 tax rules for contractors may only be two months away, but most contractors remain confused about what the changes will mean – and whether they need to do anything before the 6 April implementation date.[continue reading…]
Once again, Contractors sat yesterday with baited breath to see how the secrets of Philip Hammond’s red box and the Autumn Budget 2017 would affect them. In his first Budget since the government lost their majority in the general election, it was good to hear the Chancellor affirm his commitment to small businesses, recognising them as the backbone of our economy and praising them for their “vibrancy and resilience”.
When deciding between contracting via an umbrella or limited company, the main factors to consider are typically; the tax differences between the two structures, your IR35 status, and how much perceived ‘paperwork’ is involved. One service provider says that 50% of umbrella company contractors would be better off by incorporating.
Industry body, PCG, has warned that Government proposals to clampdown on the use of limited companies by contractors and consultants could result in significant job losses.
Kingston University and contractors’ group, PCG, have published some interesting findings from a comprehensive study of the UK’s freelance workforce.